Census shows state's wealthiest people live in Fox Chapel
Affluence and Fox Chapel have long been thought of as synonymous. Now, there are numbers to back it up.
The wealthiest people in the state live in Fox Chapel, according to a report released last week by the U.S. Census Bureau.
That detail, and other data on education, ethnicity and employment were gleaned from the 2000 Census "long reports," which were distributed to one in every six households. The survey asked questions on income to industry, caregiving to commuting.
Nearly one half of the households in Fox Chapel earn $200,000 or more, according to the report. The median household income is $147,298 - more than three times the average statewide income of $40,106.
People in no other Lower Valley municipality came anywhere close to earning that much money.
For example, Blawnox, Etna and Sharpsburg had no households that reported incomes of more than $150,000; only about 5 percent of homes in Aspinwall, Indiana Township and O'Hara earned between $150,000 and $199,000.
In fact, Fox Chapel households captured the top income across Allegheny County hands down. The county average is $38,329.
The second wealthiest municipality, Sewickley Heights, wasn't even in Fox Chapel's ball field. There, the average earned income is $115,672 followed by Ben Avon Heights at $105,006.
Wealth attracts wealth, said Jim Futrell, director of market research and analysis for Pittsburgh Regional Alliance.
In the executive world, Fox Chapel is the place to be, simply put, because other heads of industry live there.
"A lot of executives like to be around other executives," Futrell said. "Whether it be for work reasons, social events or networking, living near one another is a benefit.
"When executives are recruited from out of the area, they are brought to where others live."
Still, borough residents aren't making as much as they did 10 years ago. Earnings here dropped eight percent since the 1990 Census.
Households averaged about $12,000 less than in 1990 when the median inflation-adjusted income was $159,816, compared to $147,298 in 2000.
"Poor municipalities seem to have done so much better relatively," said Stuart Hoffman, chief financial officer for PNC Services Group.
Hoffman attributed the improvement, in part, to a population shift. But, he said, the minimum wage hike likely played a role. A tight labor market drove up wages, and welfare reform prompted many unemployed workers to find jobs, Hoffman said.
To that end, both Blawnox and Etna - while still about 25 percent below the state average - made significant strides in income.
Household income in Etna is up 27 percent since 1990, from $24,850 to $31,529; Blawnox residents made the steepest jump, 42 percent, from $21,178 to $30,203.
Etna Manager Mary Ellen Ramage attributed the climb to the borough's redevelopment. Council has worked over the past decade to improve roads and recreation facilities, she said. "It's just myy facilities, she said.
"It's just my opinion, but I think these changes are attracting young families starting out," Ramage said. "These are people getting out of college with professional jobs."
Ramage touted the work done at the borough's pool and playground, but said geography also is likely to attract upstart white-collar employees.
"Our proximity is a benefit. With Route 28 here, you can be downtown in 10 minutes," she said.
Whether because of an increased minimum wage or fewer government handouts, the income gap is narrowing, according to census reports. The bulk of households in Blawnox, Etna and Sharpsburg still earn less than $50,000 a year. But, those numbers have grown smaller since 1990.
For example, 71 percent of Etna households earned less than $50,000 in 2000. In 1990, 89 percent earned that same amount.
Blawnox reported 75 percent of households earning less than $50,000 in 2000. That number was down from 90 percent in 1990.
Even in Fox Chapel, income brackets for the mega-wealthy remained status quo since 1990, with more than 40 percent of people earning more than $150,000. The lone standout was the bracket of people earning between $50,000 to $74,999, which grew from 6.4 to 11 percent.
A 50-year census analysis of income patterns showed that the earnings disparity between the wealthy and the working class stopped growing in the early 1990's. Nearly 8 percent of families across the state were below the government's official poverty line of $17,029, a slight decrease from a decade ago.
In the Lower Valley, 474 families are below poverty level. That's 3.6 percent of the 13,314 occupied housing units, well below the state average.